CyberOptics Corporation (Nasdaq: CYBE) today announced the completion of
a restructuring and staff reduction totaling approximately 10% of its
global workforce. This action was taken in response to continued
softening of the electronics market, which has resulted in significantly
reduced revenue during the first two months of the fourth quarter.
Management currently anticipates fourth quarter revenue will range
between $5.5 million and $6.0 million.

Kathleen P. Iverson, chief executive officer and chair, commented: “The
downturn in the global electronics market, which affected our operating
results through the first nine months of 2012, has deepened considerably
in the fourth quarter. All electronics manufacturers now appear to be
deferring capital equipment orders and likely will continue doing so
until global economic uncertainties are resolved and consumer confidence
strengthens.”

Ms. Iverson indicated that the severance expense associated with the
workforce reduction will approximate $550,000, and along with the
weakened revenue, will result in a more significant net loss for the
fourth quarter and full year than previously anticipated. She explained
that the loss and the market downturn could also require CyberOptics to
record an allowance against its deferred tax asset for accounting
purposes, further compounding the magnitude of the reported net loss.

CIO, CTO & Developer Resources

“CyberOptics has weathered many cyclical downturns before, and while we
regret the workforce reduction announced today, we believe this action
will enable us to operate more efficiently and effectively during this
period of economic weakness,” she added. “With cash reserves of roughly
$30 million and a strong pipeline of new products under development, we
are confident CyberOptics will emerge from the current period
well-positioned to capitalize upon a strengthening electronics market.”

About CyberOpticsFounded in 1984, CyberOptics Corporation
is a leading provider of sensors and inspection systems that provide
process yield and through-put improvement solutions for the global
electronic assembly and semiconductor capital equipment markets. Our
products are deployed on production lines that manufacture surface mount
technology circuit boards and semiconductor process equipment. By
increasing productivity and product quality, our sensors and inspection
systems enable electronics manufacturers to strengthen their competitive
positions in highly price-sensitive markets. Headquartered in
Minneapolis, Minnesota, we conduct worldwide operations through
facilities in North America, Asia and Europe.

Statements regarding the Company’s anticipated performance are
forward-looking and therefore involve risks and uncertainties, including
but not limited to: market conditions in the global SMT and
semiconductor capital equipment industries; increasing price competition
and price pressure on our product sales, particularly our SMT systems;
the level of orders from our OEM customers; the availability of parts
required for meeting customer orders; the effect of world events on our
sales, the majority of which are from foreign customers; product
introductions and pricing by our competitors; the level of revenue and
profitability or loss we achieve in 2012; success of anticipated new OEM
and end-user opportunities; the need for a valuation allowance with
respect to our deferred tax assets; and other factors set forth in the
Company’s filings with the Securities and Exchange Commission.

Cloud computing budgets worldwide are reaching into the hundreds of billions of dollars, and no organization can survive long without some sort of cloud migration strategy. Each month brings new announcements, use cases, and success stories.